As more electric vehicles enter the market, sticker shock has begun to eclipse consumers’ long-standing worries about short range and batteries that can catch fire.

Ford’s electric Focus compact car has a base price just below $40,000 and Chevrolet’s plug-in hybrid Volt costs $41,000. Toyota recently rolled out an electric version of its RAV4 small SUV that will cost about $50,000. Since a low price is a major selling point for a new car, it seems doubtful the current generation of electrics will ever form a retail foothold in the U.S.

Now Mitsubishi is setting a new price floor with the i-MiEV, the latest version of a tiny vehicle that has been available in other markets but is making its U.S. debut. But is its $31,125 base price low enough to attract buyers?

I have been test-driving the new Mitsubishi this weekend and have found it ideal for the usual errands. Its typical driving range of between 60 and 70 miles would make it a good choice for commuting from the New Jersey suburbs to Manhattan. It fits into the smallest parking spaces and has a smaller footprint than nearly every car on the road short of a Smart Fortwo. I also reviewed an earlier model last year.

About Japan Real Time

Japan Real Time is a newsy, concise guide to what works, what doesn’t and why in the one-time poster child for Asian development, as it struggles to keep pace with faster-growing neighbors while competing with Europe for Michelin-rated restaurants. Drawing on the expertise of The Wall Street Journal and Dow Jones Newswires, the site provides an inside track on business, politics and lifestyle in Japan as it comes to terms with being overtaken by China as the world’s second-biggest economy. You can contact the editors at japanrealtime@wsj.com